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What Digital Business Key Performance Indicators (KPIs) are you using?

Digital business key performance indicators (KPIs) designed to assess the progress of digital transformation are still not widely used or universally understood — it’s a key critical success factor essential to continued investment. These metrics and analytics should stand alone initially but always tied to the overall corporate strategic initiatives.

How would you describe your transformation progress? What set of relevant KPIs specific to the digital business transformation effort are your guidance?

With most enterprises already using a robust set of enterprise KPIs to measure the performance of their business, it may seem superfluous to create yet another set of KPIs. However, as with any large transformation or project, it is helpful to temporarily create transitional KPIs for the duration of the digital business effort. In Digital Business KPIs: Defining and Measuring Success, research firm Gartner sets out to look at how enterprise CEOs, chief digital officers and CIOs must move beyond the transformation stage and set metrics and goals that lay out a true digital business journey. In fact, according to Gartner, CEOs, chief digital officers (CDOs) and CIOs must:

Move beyond the transformation stage and set metrics and goals that lay out the digital business journey.

My experience validates the need to work closely from the outset with each senior business unit executive to quantify the potential economic benefits of digitalization.

Use startup-style metrics for new ventures, acquisitions and business models.